PALO ALTO, CA -- 05/28/08 --
PubMatic (
www.pubmatic.com), the world's
first service that automates and optimizes ad inventory decision-making for
Web publishers, today launched a new service for Web publishers that helps
them recapture revenue that would normally be lost to default or blank ads.
The new default optimization service allows publishers to monetize 100
percent of their ad inventory at the highest possible price by eliminating
wasted default impressions and reselling those impressions to the highest
paying ad network. In private testing with several dozen large publishers,
PubMatic's default optimization service boosted publisher revenues by as
much as 50 percent.
Background: Web publishers typically work with one or more ad networks to
broker ads on their Web sites. However, ad networks set rules for ad
campaigns that limit who will see their ads and when they will see them
based on geography, time of day, how many times a user has seen an ad, and
a variety of other factors. When these limits are reached, a blank or
default ad is served, resulting in a lost revenue opportunity for the
publisher. Without PubMatic, publishers can only manually attempt to
eliminate these ads, which is a very arduous process. As a result, these
publishers end up serving public service ads, blank ads, or low paying ads
to their audience, leaving an estimated billion dollars in revenue
unrealized. During PubMatic's private test, ad networks defaulted 56
percent of the time on average and as often as percent of the time.
"By manually redirecting default ad inventory to a static string of ad
networks, or leaving it unsold altogether, publishers leave what we
estimate to be more than a billion dollars on the table each year," said
Rajeev Goel, co-founder and general manager of PubMatic. "It's hard to
imagine any company in any industry simply allowing 20 to 30 percent of its
inventory to go to waste."
PubMatic's default optimization service automates the reselling process,
allowing publishers to instantly redirect unsold ad inventory back to
PubMatic, which fills that inventory with the highest paying ad impression
every time. PubMatic's new service is an automated solution for the billion-
dollar loss that plagues the industry.
PubMatic customer Flixster, an online community for movie fans, realized 30
percent in incremental revenue by deploying the default optimization
service. At a time when social networking sites are showing declining
eCPMs, Flixster was able to find significant revenue from its existing ad
inventory, reaffirming the importance of having a comprehensive and fully
automated default ad management strategy as part of any revenue
optimization plan.
"PubMatic's default optimization service has enabled Flixster to access
detailed reporting and tracking of the performance of its remnant
inventory," said Steve Polsky, president and COO of Flixster. "By using
PubMatic's default optimization service Flixster has been able to optimize
across all of its ad providers and significantly increase its eCPMs."
About PubMatic
PubMatic is the world's first service that increases Web publishers'
revenue by automating and optimizing ad serving decisions. PubMatic
significantly increases ad sales revenue for more than 3,000 publishers by
optimizing ad serving decisions across hundreds of ad networks and by using
sophisticated algorithms to optimize the layout of text and display ads.
PubMatic is a service of advertising company Komli and is venture backed by
Draper Fisher Jurvetson, Nexus India Capital, and Helion Ventures. Find out
more at www.pubmatic.com.
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